Alonso is in the third and final year of his contract with McLaren and has grown frustrated with the team's underperformance since reuniting with engine-suppliers Honda.
A statement from McLaren read: "Since the Indianapolis 500 will take place on May 28th, the same day as the Monaco Grand Prix, Fernando will not race at Monaco this year".
McLaren announced on Wednesday that it will field a one-car team for Alonso at the event, which will be run by Andretti Autosport and supplied by Honda engines.
Andretti chief Michael Andretti, a former IndyCar champion who raced in F1 for McLaren, said Alonso was capable of repeating Rossi's achievement.
"I want to thank Zak [Brown], Honda and McLaren for this tremendous opportunity", Andretti said. The race will mark its 101st edition on Sunday May 28, 2017 at the Indianapolis Motor Speedway.
"But Monaco will be the only 2017 Grand Prix I'll be missing, and I'll be back in the cockpit of the McLaren-Honda for the Canadian Grand Prix in Montreal in early June".
"Michael [Andretti] is an old friend of mine, and a man I respect enormously, and his Andretti Autosport organisation is one of the best in the business". He pointed out that Alonso will drive for the same team and Honda-powered package that won the race a year ago.
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Ojjeh is open to the idea of McLaren returning Stateside in a non-F1 capacity with regularity after Alonso's Indy 500 debut. "I've watched a lot of IndyCar action on TV and online, and it's clear that great precision is required to race in close proximity with other cars on the far side of 220mph".
Graham Hill is the only driver to achieve the set, and Alonso, who has won in Monte Carlo on successive occasions in 2006 and 2007 - is keen to emulate the Briton.
The Spaniard has been given the green light by the team, who are yet to pick up a point after two races in the Formula 1 calendar.
Andretti said Alonso's lack of experience at super-speedways didn't concern him.
Brown added: "Could Fernando win this year's Indy 500?"
McLaren has won the Indy 500 twice, in 1974 and 1976 with Johnny Rutherford at the wheel. Fernando is a great talent and I have full confidence that he will represent very strongly for McLaren, Honda and Andretti Autosport.
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